ASSESSING LOCAL VENDOR FOR FABRICATING SPARE PARTS USING ANALYTICAL HIERARCHY PROCESS (AHP) AT PT TAMBANG BIRU CEMERLANG

• Main Author: Aprianingsih, Nurhalimah
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/75963
• Institution: Institut Teknologi Bandung

PT Tambang Biru Cemerlang is a company engaged in the mining sector, focusing on the production of equipment and mineral exploration technology. Due to the limited manufacturing facilities, which are only available abroad, the company has to consider the "Make" or "Buy" decision. The "Make" decision faces constraints in the importation process, particularly in terms of regulatory restrictions and prohibitions on goods, resulting in delays in the supply of goods. As an alternative solution to avoid these delays, the "Buy" decision becomes a consideration. The difficulty in finding vendors for local fabrication is a constraint due to limited resources. The objective of this research is to identify the main criteria for finding and selecting vendors to produce goods in a timely manner. Additionally, several vendor nominations are considered as alternatives to assess their performance based on the predetermined criteria. The research analysis utilizes the Analytical Hierarchy Process with Price, Quality, Delivery Time, and Service Performance as criteria, and Vendor 1, 2, and 3 as alternatives. The research results indicate that Quality and Safety are the most important criteria and sub-criteria, with weights of 0.311 and 0.087, respectively. Vendor 1 is the most suitable alternative for local fabrication, with a weight of 0.500.